A study commissioned by Qualcomm found that its modem chips worked better than a rival component developed by Apple, especially for cellular customers in dense urban areas.
The iPhone 16e, the first smartphone to use Apple’s in-house C1 modem, was slower to download and upload information on T-Mobile’s 5G network in New York City than Qualcomm-powered Android devices, according to a report by Cellular Insights Qualcomm paid for the study and made the findings available to Bloomberg.
Apple spent years developing the C1 component as an alternative to Qualcomm chips, part of a broader push to replace suppliers’ parts with homegrown technology. Modem chips — a vital part of any mobile phone — help connect the device to cellular towers, allowing users to make calls and access internet data.
While the C1 phone performed adequately under optimal conditions, it lagged behind in “the very scenarios where next-generation modems are expected to excel,” the report said. “For users operating in dense urban, indoor or uplink-intensive environments, the benefits of better 5G performance in the Android smartphones is not just theoretical — it is quantifiable, repeatable and operationally significant.”
A representative for Apple didn’t immediately respond to a request for comment.
By citing the report, Qualcomm is taking a shot at one of its biggest customers. Over the years, Apple has accounted for roughly 20 percent of Qualcomm’s revenue, and the chipmaker was the exclusive provider of modems for the iPhone lineup before the 16e debuted this year. But Apple is looking to eventually bring its in-house modems to other models, displacing its longtime supplier.
Qualcomm has told investors that they should expect revenue from Apple modem sales to eventually go to zero, but that it will be able to replace that money by expanding into other areas.
Earlier this month, Apple Chief Executive Officer Tim Cook said the rollout of the new phone has gone well and touted the component as the “the most energy-efficient modem ever in an iPhone.”
According to the study, two similarly priced Android phones using Qualcomm components were up to 35% faster at downloading data and up to 91% quicker at uploading information. The gap was more apparent when the network was busy or the phone was farther from a cell tower.
The report also said that the iPhone became “noticeably hot to touch and exhibited aggressive screen dimming within just two-minute test intervals.” It didn’t say if consumers will be able to identify any falloff in data communication in real-life situations. The report also didn’t discuss issues such as battery life.
Modems use radio waves to communicate with carriers’ networks, translating signals into information and voice inside the phone. Boosting the signal is a standard way to improve a connection, something that requires energy and depletes the battery.
Qualcomm has long argued that modem technology is more difficult to master than other chips. The company says it’s an expert at replicating various network setups and making sure its parts work in a wide variety of conditions. Weather, tall buildings and network congestion can all influence the effectiveness of a phone.
Apple’s modem push is just its latest attempt to bring more technology in house. Everything from the company’s Mac computers to its best-selling iPhones run on processors that it designed. That gives it a greater ability to customise features and control costs.
© 2025 Bloomberg LP
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